Fannie Mae announced its earnings on Wednesday, reporting net income of $3.9 billion for the third quarter of 2025, compared with $3.3 billion for the second quarter of 2025. The quarter marked the government-sponsored enterprise’s 31st consecutive quarter of positive earnings.
In its earnings call Wednesday morning, Fannie Mae’s Chief Financial Officer, Chryssa C. Halley, shared that the company’s net income, while up 16% from the second quarter, is down 5% year over year, mainly due to changes in provision for credit loss. Year to date, Fannie Mae delivered $10.8 billion in income.
Fannie Mae grew its net worth to $105.5 billion as of September 30. Net revenues remained “relatively flat,” Halley remarked, at $7.3 billion.
“Fannie Mae is operating with greater business focus than ever,” said Federal Housing Finance Agency (FHFA) Director Bill Pulte in a statement, noting that the company trimmed $173 million in administrative expenses since Q1 2025. “Fannie Mae’s strong leadership team continues to perform at a high level, with earnings up $542 million from the second quarter to $3.9 billion this quarter while reliably meeting the housing needs of borrowers and renters across the United States.”
Pulte, who announced sweeping changes to Fannie Mae’s leadership over the past week, including a Tuesday evening announcement that David Benson, former president of Fannie Mae, is rejoining the company as a senior advisor. Neither Pulte nor Benson spoke during the earnings call. Rather, Halley acknowledged the departure of former CEO Priscilla Almodovar and welcomed incoming Peter Akwaboah as acting CEO.
Halley continued the call by offering a glimpse into Fannie’s impact on American households and liquidity, adding that it provided $109 billion of liquidity to the mortgage market during the quarter.
“This helped over 400,000 households, including 207,000 home buyers, about half of whom were first-time home buyers,” Halley continued. “We also helped to keep over 23,000 households in their homes by offering various forms of assistance. Year to date, we have provided $287 billion of liquidity to the mortgage market and have helped 1.1 million households buy, refinance or rent a home in the US.”
Fannie Mae’s guaranty business, which drives its net interest income, was $4.1 trillion and continued to “drive stable guarantee fee revenues,” Halley said. Guarantee fees accounted for almost 81% of third-quarter net revenues.
Despite a drop in mortgage rates late in the third quarter, Fannie Mae says that based on the rates of current loans in its single-family book, it does not expect “a meaningful pickup and refinancing” unless rates drop below 5%.
Single-family and multifamily results
Single-family conventional acquisition volume rose to $90.4 billion in the quarter, compared with $84.1 billion in Q2 2025. Purchase volume increased to $72.0 billion, compared with $64.3 billion in the second quarter. The single-family business represents 87% of the guarantee book and 83% of net revenues, the earnings call noted.
“We see base guarantee fees trending up slightly as the single-family book slowly turns over at higher guarantee fees and the multi-family book grows. Affordability continues to impact single-family buyers, and new acquisitions have not fully offset book runoff. Eighty percent of single-family acquisitions in the third quarter were purchase loans instead of refinance loans,” Halley added.
Credit characteristics on Fannie’s single-family conventional guaranty book remained strong, with a weighted-average mark-to-market loan-to-value ratio of 50% and a weighted-average FICO credit score at origination of 753, unchanged from the previous quarter.
The single-family serious delinquency rate increased to 0.54% at the end of Q3, up from 0.53% at the end of Q2 2025.
Multifamily acquisition volume, meanwhile, rose to $18.7 billion in the third quarter, compared with $17.4 billion in the second quarter. Fannie’s multifamily book of business grew to $521.3 billion as of September 30, 2025, representing a 2.1% increase (or $10 billion) from the end of the second quarter.
The average guaranty fee on the multifamily book declined to 72.4 bps, down from 73.3 bps last quarter. The company recorded a $69 million provision for multifamily credit losses, and the serious delinquency rate increased to 0.68% as of September 30 from 0.61% as of June 30.
